Two major mortgage lenders announce ‘very significant’ rate cuts

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Two major mortgage lenders have unveiled “very significant” mortgage rate cuts.

Barclays and Santander are the most recent to slash charges, following HSBC and Halifax final week.

From Wednesday, Barclays has stated it’s chopping charges by as much as 0.5 per cent and launching a two-year fastened mortgage at 4.17 per cent for anybody with a 60 per cent mortgage to worth, down from 4.62 per cent, with a price of £899.

While HSBC’s cuts have been notable for bringing charges down beneath 4 per cent, Barclays says the two-year fastened rate mortgage will apply to anybody shopping for a brand new residence and never remortgaging for an present one.

Other cuts will appluy to 75 per cent LTV’s which is able to see charges reduce from 4.7 per cent to 4.2 per cent and 95 per cent mortgages having charges slates from 5.8 per cent to five.5 per cent.

Santander may also reduce charges tomorrow bringing some mortgage offers all the way down to lower than 4 per cent. It will launch a five-year fastened rate mortgage at 3.89 per cent with a £999 price for these remortgaging and three.94 per cent for individuals shopping for for the primary time with a 40 per cent deposit.

Other adjustments by Santander embrace a discount in customary residential fastened rate mortgages by as much as 0.82 per cent for brand spanking new clients and all new construct unique charges diminished by as much as 0.56 per cent.

All massive mortgage fastened charges will lower by 0.25 per cent and buy-to-let and five-year fastened charges will go down up by to 0.56 per cent. Buy-to-let three-year fastened charges might be withdrawn.

Gareth Davies, director at South Coast Mortgage Services informed Sky News: “This is a very significant move by Barclays. The best one we’ve seen in 2024 yet.

“To see two-year fixed deals edging this much closer to 4% is not something many would have predicted a few months ago.”

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